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AUGUST
3, 1999 6:53 PM
FOR IMMEDIATE RELEASE
CONTACT: Senator
Paul Wellstone
Jim Farrell or Andrew McDonald 202/224-8440
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| Wellstone
Challenges White House Assertion of Welfare Reform "Success Story"; Cites Disturbing
Evidence of Childhood Poverty and Hunger, Dearth of Information on Former Recipients |
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WASHINGTON
- August 3 - Responding to news reports from today's Welfare to Work Partnership
conference in Chicago, Senator Paul Wellstone challenged President Clinton and
Vice President Gore's assertions about the "success story" of the administration's
welfare reform policy.
"There's been a flurry of credible reports suggesting that all is not well with
welfare reform. But President Clinton and Vice President Gore to continue claim
that welfare is `working'. What they overlook is why, at a time when the welfare
rolls have been cut in half and the economy is booming, we now are finding that
millions more children are going to bed hungry each night; demand for emergency
food assistance is growing; millions of poor families are dropping off the Food
Stamp rolls faster than economic indicators would predict; and former welfare
recipients are losing their medical coverage, cannot make the rent and utilities,
and are unable to afford child care. These are not the results of successful reform,"
Wellstone said.
Wellstone pointed out that a report on health care coverage by Families USA states
that 675,000 low-income people became uninsured as a result of welfare reform
measures in 1997.
A study by the Urban Institute shows that most women who leave welfare are working
in low-wage service jobs, barely able to make ends meet. One-third to one-half
of welfare leavers report serious economic struggles in providing food; 40 percent
report problems paying rent, and two thirds of those who are working have jobs
with no health insurance.
A report issued last month by the USDA indicates growing food insecurity for America's
families. The report found that 2 million more Americans were living in hungry
households in 1998 than in 1997, an increase of 23 percent, and that overall more
than 10 million more children and adults were living in households suffering from
hunger or food insecurity. The USDA also revealed that children were nearly twice
as likely as adults to be living in hungry/food insecure households -- 19 percent
versus 11 percent for adults -- with the youngest children at greatest risk.
Millions of families have lost food stamps, even though they are still poor and
struggling. According to a GAO study released yesterday, "the drop in food stamp
participation is not solely the result of a strong economy," but rather a tightening
of eligibility requirements, state `reform' initiatives such as sanctions designed
to reduce the welfare rolls, and insufficient eligibility information going out
to low-income families.
According to GAO, average monthly food stamp participation in April was 18 million
people, representing a decline of 7.5 million since April 1996, a 27% decline.
In the same period, food stamp participation dropped faster than economic indicators
would predict. Children's participation has "dropped more sharply than the number
of children living in poverty, indicating a growing gap between need and assistance."
According to GAO, data shows that the demand for assistance from food banks has
increased, bolstering evidence that the drop in food stamp participation is not
solely the result of a strong economy. Catholic Charities reported an average
38 percent increase in demand for food bank assistance in 73 percent of parishes,
and the US Conference of Mayors reported an average 14 percent increase in 21
of 30 major cities.
"The welfare rolls may have been cut in half, but not poverty. I don't quite understand
how the White House, or any Democrat or Republican, can proclaim this policy a
success when we have done so little to actually reduce poverty in our country,
especially the shameful poverty of women and children. Rather than all this boosterism,
let's have an honest policy evaluation to find out what is really happening to
poor families. That's what my welfare tracking amendment would do; it should be
enacted immediately," Wellstone said.
In July, Wellstone successfully attached an amendment to the pending Treasury-Postal
appropriations bill which would direct the Secretary of HHS to report annually
to Congress information about what has happened to families that have been dropped
from the welfare rolls. The measure would have the federal government encourage
states to collect and report data about the effects of welfare reform on poor
families and former recipients, including their employment status, wages, health
insurance status, and child care information.
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